I dont seem to understand leverage

[Trader_Rob]

At first, I also can't fully understand leverage. Whenever people say that a broker offers high leverage, it is often meant to be a positive feedback. But now that I know what a leverage really is, I realized that getting a high leverage does not always mean that you would earn more. Because linked with it is the risk your taking.

[Wekesa]

Okay leverage is the power to increase your purchase value, okay what do I mean if you have a deposit of 100 dollars , that amount is so little to buy bitcoin , good enough to give you returns, what do I mean you buy bitcoin worth 100 dollars and it increases by 20 percent , you get around 2 dollars or something because even though its as low, but look at it this way , with leverage you can be able to go as high as to purchase , worth about 10,000 dollars and thats it, be sure to include a good management skills because then is when you lose when things go south

[Njoki]

Okay just as @Wekesa has stated , then there is a high possibility to which one can get some good money with leverage, how ever there is a huge down fall to it, you can actually even lose more to it the more you risk the more you have the possibility of losing it all, if you look at how this kind leverage works, it depends on what we have, if I have 50 dollars and use a leverage of 1:25, then for every one dollar , I can get about 25 worth of margin, which means with 50 I get 1250$ worth of margin, but when things get rough , you lose more and when you gain you gain more so its either way you can win or even lose more, thats the case.

[Iimlim]

Wow good to know that